CNOOC Turns on the Tap at QK 18-2 Oilfield

CNOOC reports that Qikou ("QK") 18-2, a new oil field in the Western part of Bohai Bay has come on stream successfully. The field is producing more than 2800 barrels of oil per day from 5 wells currently.

Located about 6 kilometers southwest of the producing field QK 18-1, QK18- 2 is a part of Boxi oil fields. It is consist of a production platform and a subsea pipeline. The field shares some production facilities with other Boxi Oil Fields.

Mr. Zhou Shouwei, President of the Company commented, "We have a busy development schedule this year. The successful completion of QK 18-2 is yet another milestone for us. This and other development will help us achieve offshore China's production target and allow us to take advantage of the current oil prices."

The Company owns 100% interest of the discovery.
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